China drives growth, lobster industry breaks through
According to a report by Vietnam Association of Seafood Processing and Export, in Q1/2026, Vietnam's shrimp export reached US$1.069 billion, an increase of 17.5% compared to the same period in 2025. In context of an uneven recovery in global market and increasingly fierce competition, this is a positive sign. However, this growth does not reflect a widespread recovery, but mainly comes from a few specific markets and product groups.
Structurally, whiteleg shrimp continued to be the mainstay with $573 million, accounting for 53.6% of total export value, an increase of 6.3%. Black tiger shrimp reached $80.7 million, an increase of 10.8%. Notably, the "other shrimp" group reached nearly $415 million, a strong increase of 39.3%; of which lobster alone reached $345.5 million, an increase of 57.4%, becoming the biggest growth driver of entire industry.
Regarding markets, China and Hong Kong (China) continued to play a leading role with an export value of $440.1 million, an increase of 57.2%, accounting for more than 41% of total shrimp exports. Lobster export to this market alone reached $341.6 million, an increase of 58.4%, equivalent to 77.6% of total shrimp export value to the region. This development shows an increasing dependence on a few key markets, while also highlighting need for market diversification to reduce long-term risks.
Despite being one of Vietnam's key export industries, shrimp is facing increasing competitive pressure from Ecuador and India, two strong competitors in recent years. Speaking at the 2026 National Conference on Fisheries Science and Technology, Dr. Nguyen Duy Hoa, Deputy Technical Director of Cargill Corporation, stated that Ecuador currently leads in low costs, while India holds an advantage in production scale. Although Vietnam has high productivity thanks to intensive farming, its scale is small, costs are high and disease risks are significant.

Specifically, stocking densities in Vietnam range from 100–300 shrimp/m², with yields of 15–25 tonnes/ha, significantly higher than India (6–10 tonnes/ha) and Ecuador (4–8 tonnes/ha). However, high stocking densities entail significant risks of disease outbreaks and environmental fluctuations. Meanwhile, Ecuador with its low-density, extensive farming model, offers advantages in stability and quality.
Furthermore, Vietnam's production scale is fragmented, with small ponds (0.1–1 ha), making standardization difficult. Shrimp quality is inconsistent and supply chain from breeding, feed, farming, processing, and marketing is not tightly integrated. In contrast, Ecuador has built a comprehensive, integrated system from breeding and feed to processing and branding.
“Vietnam cannot beat Ecuador in terms of cost, nor can it compete with India in terms of scale. The only way forward is to shift to competing on value”, emphasized Dr. Nguyen Duy Hoa.
Previously, at the press conference on the 2026 National Conference on Fisheries Science, Technology and Fisheries Inspection, Mr. Nguyen Huu Ninh, Deputy Director of the Department of Science and Technology (Ministry of Agriculture and Environment), stated: Quality of broodstock remains a worrying issue, especially for the shrimp industry, which is a key export commodity. Despite significant investment in research, Vietnam still heavily relies on imported broodstock, especially whiteleg shrimp. Domestic breeding efforts are limited and do not meet market demands.
Restructuring to enhance competitiveness
One of major bottlenecks in shrimp industry today is high production costs, with feed alone accounting for 50-60%. The proposed solution is to promote use of alternative ingredients such as soybean meal and corn protein to reduce dependence on imported fishmeal while still ensuring farming efficiency.
However, the industry's challenges lie not only in costs but also in production structure. According to experts, to enhance competitiveness, shrimp industry needs to implement several strategies simultaneously.
First, improve genetic breeding towards creating disease-free, disease-resistant breeds, increasing survival rates instead of just focusing on productivity.
Second, optimize feed conversion ratio (FCR), treating feed not just as a cost but as a tool for generating profit.
Third, promote application of technologies such as IoT, AI, Biofloc, or recirculating aquaculture systems (RAS) to control the farming environment, reduce risks and improve efficiency.
Fourth, focus on deep processing and brand building. Value-added products such as ready-to-eat shrimp and instant shrimp need to be promoted, accompanied by a traceability system that meets international standards.
Fifth, target high-quality products in the US and EU markets; and the premium segment in Japan. Chinese market is suitable for high-volume, competitively priced products; the Middle East and Asian markets are flexible with frozen goods.
Sixth, build an integrated ecosystem across the entire industry to overcome the current fragmentation.
Roadmap proposed by Dr. Nguyen Duy Hoa focuses on optimizing costs and improving production efficiency in the short term; concentrating on breeding and technology in the medium term; and aiming for brand building and expanding integrated scale in the long term.
Among key aquatic product groups, shrimp holds the leading position with export turnover of approximately US$4.6 billion per year. To enhance competitiveness of this "billion-dollar" export industry, Mr. Nguyen Quang Hung, Deputy Director of the Fisheries and Fisheries Inspection Department of Ministry of Agriculture and Environment, stated that in the coming period, the Department will focus on developing disease-free, fast-growing key aquatic breeds; applying high technology, biotechnology and digital technology; developing smart aquaculture; modernizing exploitation and reducing post-harvest losses. Developing a circular economy and green economy in aquaculture.

Source: Vitic/ congthuong.vn